Cooperative crisis: Depositors struggle as promised refunds remain elusive
Summary
Thousands of depositors are still unable to recover their savings from troubled cooperatives despite repeated government promises and a relief fund. Victims say repayments remain slow and incomplete, while officials struggle to recover assets and enforce court decisions.
Key Points
- The government’s promise to refund money from troubled cooperatives remains largely unfulfilled, leaving billions of rupees locked up for depositors.
- The case of Delight Multipurpose Cooperative in Jawalakhel highlights the crisis, with its chairman and managing director accused of fleeing after issuing a bounced cheque.
- About 76,000 depositors are owed nearly Rs 46 billion by cooperatives under the Problematic Cooperative Management Committee’s jurisdiction.
- The government has set up a revolving relief fund and expanded priority categories, but full repayment timelines remain unclear.
